Real Estate News

Developers cannot get enough of the new loans to build rental housing in Canada

Prime Minister Justin Trudeau has ramped up loans to boost rental housing in Canada and developers are snapping them up.

Demand has been so hot for the low-cost loans from Canada Mortgage & Housing Corp. that the government plans to increase the program to almost $14 billion (US$11 billion) over the next nine years. That’s up from $2.5 billion when it was launched in 2017.

“I’ve been fielding a lot of calls,” Robyn Adamache, senior specialist of affordable housing for the housing agency, said by phone. “There’s been really little rental buildings across Canada because the economics have been so difficult for builders and this could actually make numbers work to build rental.”